Dow & SPX Near Breakout, But Tape Remains Split

  • March 3, 2005
  • Gary Kaltbaum

RETAILERS are starting to break out.
Notwithstanding
WMT, that is still sitting near yearly lows, AEOS, BJ, PSUN, FL, FD and COH
are breaking out of quality bases.

 

The SOX once again was turned back at resistance around 450. A break above
that level would be a positive. INTC’s mid-quarter report will have something
to say about the next move.

 

OILS and COMMODITIES are pulling back on cue…but not enough. They are mostly
still extended and need more work before considering new purchases.

 

 

I am trying to be more sector-specific as it feels like it is more important
right now than the market. That said, the DOW and S&P are on the cusp of
breaking out. Keep in mind, even if they do, the NASDAQ and NASDAQ 100
continue to lag and the tape remains very split.

 

Gary Kaltbaum